Showing posts with label Northern NSW. Show all posts
Showing posts with label Northern NSW. Show all posts

Wednesday 22 February 2023

Northern NSW State of Play 2023: seven days out from the first anniversary of that catastrophic unnatural disaster, the Lismore & Northern Rivers Floods of 2022



 

The Guardian, 20 February 2023:


In February the hills and valleys of the New South Wales northern rivers are green and lush and fertile in the late summer sun. There is brightness in the madly proliferating tropical flora, radiance in the golden hour of the evening.


In the towns the mud has gone, mostly, and the smell too has faded; a semblance of normality returned to the main streets. As the foliage has returned, the devastation of the 2022 floods is more hidden now; the scale of what happened. The people who are changed.


As the anniversary of the disaster approaches, along with the cyclone season, for those left in the flood’s wake the impact is still unfolding. When the flood waters receded a year ago, for many, the disaster was only beginning.


You could hazard a guess that something like 15 to 20,000 people were impacted,” says Professor James Bennett Levy from the University of Sydney Centre for Rural Health. “I would say there’s been huge collective trauma as well as individual trauma.”


If I am doing a community event,” says Naomi Vaotuua, recovery and resilience officer for the Red Cross, “I will literally have grown men crying in my arms because it’s a cloudy day and they thought they were doing alright but they have been triggered.”


Kerry Pritchard, coordinator of recovery Hub 2484 in Murwillumbah, says: “I guess what is surfacing now is more residual complex trauma. We feel like we are still very much in the middle of it, at the coalface of supporting people. That is both in terms of rebuilding in a physical sense and also healing from that traumatic event.”


The northern rivers floods were Australia’s biggest natural disaster since Cyclone Tracy in 1974. It was the second-costliest event in the world for insurers in 2022, and the most expensive disaster in Australian history. Many residents had found premiums unaffordable and had no insurance at all.


The Northern Rivers Reconstruction Corporation (NRRC), funded by the federal and NSW governments, is currently assessing over 6,000 flood-impacted residences for buyback, raising or retrofit.


A survey released this month by Southern Cross University revealed that nine months after the event, at the end of 2022, almost 52% of flood victims were living in the shells of homes that had flooded; 26% were living in temporary accommodation such as caravans, sheds or pods, or with friends or family; 18% were living in insecure accommodation such as tents or temporary rentals; and 4% were no longer living in the region.


The departure of thousands of locals is one of the things that broke the heart of city councillor and executive director of Resilient Lismore, Elly Bird. “They are disconnected from their community and the people they went through that experience with and disconnected from our recovery journey and support. They are probably having a hard time,” Bird says.


Hanabeth Luke, senior lecturer in science and engineering at Southern Cross University, and one of the researchers behind the survey, said she was “shocked to see the low, low levels of mental health. Twenty percent of people said they were coping with the stresses and challenges of recovery and 60% said they were not coping.”


It is the housing uncertainty causing mental health strain, Luke says; the stress of “not being able to move forward, making do without a clear plan”. People live in substandard dwellings while they wait on government assessments or insurance payouts, not knowing whether to fix a house or if they might get a buyback. People camp out in caravans outside dilapidated abandoned houses, houses they are still paying mortgages and rates for. Families squeeze into a single motel room where they are not allowed to cook or have their pets.


Up until last month, the Koori Kitchen was still serving around around 700 free meals a day at Browns Creek car park in Lismore, says Koori Mail general manager Naomi Moran. It was forced to close as the council wanted the car spaces back to help support local business recovery.


These things take their toll.


What has been found is that the more you were likely to have been scared of injury or death, the higher the likelihood of PTSD,” says Bennett Levy. “Similarly, the more extensive the inundation the more likelihood of significant mental health issues. If we go back to the data we can say that the people who are displaced from home for more than six months are at very high risk of PTSD.”


Pritchard sees the data borne out in real life. “A year out and people are just worn down, they’re exhausted, they’re losing hope and just can’t see the light at the end of the tunnel. We’re seeing a lot of suicidal ideation.” People who have always worked hard and supported themselves find themselves having to ask for help, she says. “There are a lot of feelings of shame and impotency around that.”


Those who could afford insurance are now coming to the end of the 52 weeks of temporary accommodation paid for by their insurers. For those locals, there is anxiety about whether they will get into the 11 pod villages built by Resilience NSW across the region. The villages aim to house 1,800 people for up to three years. Another 300 people are still in emergency accommodation…..


Read the full article here.



Southern Cross UniversityNew Southern Cross study reveals ongoing housing and mental health challenges for flood-affected, 7 February 2023:


A new Southern Cross University survey has shown almost 50 per cent of Northern Rivers flood victims were still displaced nine months after the devastating floods and landslides of 2022.


The survey, conducted by Southern Cross researchers in the latter months of last year, aimed to gain a better understanding of the ongoing struggles faced by flood-affected communities. The results paint a stark picture.


Of the 800 survey respondents, 52 percent were back living in a home that had flooded, while 26 per cent were either living in temporary accommodation such as caravans, sheds or pods, or with friends and family. A staggering 18 per cent of people reported they were living in ‘other’ insecure or crisis accommodation such as tents or temporary rentals and four per cent were no longer living in the region.


One fifth of respondents reported it was hard to find out what support was available to them, suggesting insufficient variety in information channels used to communicate with flood-affected residents. Additionally, nearly one third of insured survey respondents reported being ineligible for an insurance payout, and many cited excessive bureaucracy as a major barrier to accessing funding for recovery efforts. Survey respondents had to fill out an average 6-8 forms each to receive any financial assistance.


The Insurance Council of Australia estimates the cost of the 2022 east coast floods to be around AUD $5 billion in insurance damages. The Southern Cross survey results showed that while the most common cost of the flood was between $201,000-$500,000 to each respondent, the most common maximum amount received at the time of completing the survey was a tenth of that, at $21,000-$50,000.


"The findings of this survey are a sobering reminder of the ongoing impact of the floods on the Northern Rivers community," said lead researcher Dr Hanabeth Luke.


Flooding has affected dozens of rural and urban communities around the country and continues to do so, most recently in Western Australia. There are important learnings from this that can guide us and others to be better prepared next time,” she said.


Elly Bird, Executive Director of Resilient Lismore – a community organisation and partner in the survey – said "just 20 per cent of respondents report they are coping with the stresses and challenges of recovering from the floods, and more than 80 per cent agree that community hubs have been essential to their recovery.


Nearly 60 per cent of respondents still need help with access to tradespeople, and more than 45 per cent require access to building materials. This is holding up the recovery and needs to be addressed urgently.”


Many respondents reported not ‘being able to plan’ as a significant challenge.


The majority (96 per cent) of survey respondents saw community preparedness as most important for mitigating future events, with engineering solutions receiving a lower level of support than all other options.


"This study is a crucial tool in the ongoing efforts of our community to build back. Tapping into the experiences of those affected will help shape services and streamline processes and hold us in better stead for future events,” said Ms Bird.


Download the survey results here [PDF]





https://youtu.be/vfAF60gjnMA

Monday 6 February 2023

In 2023 some developers refuse to take no for an answer - one example is the multiple occupancy application by Kempcove Pty Ltd, NCV Enterprises Pty Ltd, Peter Van Lieshout, Dolph Cooke, Darko Kovac & Zimmer Land Pty Ltd.

 

On 19 June 2020 NCV Enterprises Pty Ltd at public auction purchased land at 3222 Kyogle Road, Mount Burrell, NSW, for $2 million.


This land formerly owned by Wollumbin Horizons Pty Ltd (in liquidation) had been intended as a commune, the Bhula Bhula Community.


On 14 January 2021 Tweed Shire Council received Development Application 21/0010 Integrated Development – lodged by NCV Enterprises Pty Ltd for multiple occupancy at 2924, 2956, 2984 & 3222 Kyogle Road. A collection of land parcels comprising 1,584.3ha of forested land stretching from Kunghur to Mount Bullah. With a section of the Tweed River within its boundaries.


Described for promotional purposes as Nightcap on Minjungbul at: https://www.youtube.com/c/NightcaponMinjungbul/videos.


Tweed Shire Council rejected the concept plan at its 1 July 2021 ordinary monthly meeting.


Noting that The Development Application was referred externally to: Natural Resources Access Regulator, Heritage, Community Engagement – Department of Premier and Cabinet, NSW Rural Fire Service, Department of Planning Industry & Environment – Biodiversity and Conservation Division. All of the agencies either required further information or did not support the proposal. The Biodiversity and Conservation Division advised that they estimate the proposed development would require extensive land clearing of approximately 106ha of native vegetation with a further 220ha of impact in native populations and areas described as “cleared/grassed paddocks with scattered trees, regrowth and weed thickets”. The cost of Biodiversity Offsets required to offset the loss of biodiversity values to enable the proposed development is estimated in excess of $27 million.


On 10 February 2021 Council passed the matter to the Northern Regional Planning Panel (NRPP) as designated consent authority, recommending refusal.


On 18 August 2021 the NRPP refused DA21/200 a multiple occupancy concept plan for this land. Applicants were listed as Kempcove Pty Ltd, NCV Enterprises Pty Ltd, Peter Van Lieshout, Dolph Cooke, Darko Kovac and Zimmer Land Pty Ltd.


Echo online reported on 2 February 2023:


The contentious Tweed Valley, Nightcap Village multiple occupancy (MO) $39M development application (DA) near Uki, promoted by Pete Evans, was refused by the Northern Regional Planning Panel (NRPP) in August 2021. They had one year to appeal the decision, and with one day to spare the MO solicitors lodged an appeal to the Land & Environment Court (L&EC) against the NRPP’s decision not to give approval for the project.


An ‘on site Mediation Conference’ was originally set for ‘9 and 10 February 2023’, however, this has now been moved to an online meeting starting 9 February…..


Nightcap Village area to be developed




















The full article can be read here.


Thursday 22 December 2022

Native title over certain land & waters in the Northern Rivers region granted to Widjabul-Wia-bal People on 19 December 2022


 

On 19 December 2022 the Federal Court of Australia recognised Native Title in relation to Application NC2013/005 - Widjabul Wia-bal People.


The Widjabul Wia-bal now hold native title over approximately 11,700 hectares of their traditional lands and waters within Ballina, Byron, Kyogle, Lismore City, Richmond Valley and Tweed local government areas. As set out in Widjabul Wia-Bal v Attorney-General of New South Wales (Section 87 Agreement) [2022] FCA 1521.


IMAGE: FCA 1521
Click on image to enlarge















According to the NSW Government the settlement also includes an agreement to disregard historical extinguishment of native title in national parks within the claim area, paving the way for the future recognition of native title over an additional 2,600 hectares of national parks.


From the beginning the NSW O’Farrell-Baird-Berejiklian-Perrottet Coalition Government resisted this native title claim in the Federal Court and, in this writer’s opinion, did not always act in good faith.


Perhaps this determination may give the Rothwell Family, Winten Property Group, Winten (No 12) Pty Limited, Glorbill Pty Ltd, Folsom Pty. Ltd, William Anthony Sexton, Lismore City Council and Mayor Steve Krieg, pause for reflection on their own business decisions and/or political ambitions.


Friday 18 November 2022

Has Kyogle Council in Northern NSW become a creature of the timber industry?


In 2018 the NSW Dept. of Primary Industries produced a report that examined the NSW planning and regulatory instruments that interact with private native forestry (PNF) using the entire NSW north coast region as a case study -  from Gosford local government area to the NSW-Qld border - to which was added Tenterfield, Glen Innes Severn, Guyra, Armidale Dumaresq, Uralla, Walcha and Tamworth LGAs for good measure.


The report found planning constraints and exclusions applied to 734,992 ha, which equated to 25.6% of the total area of private native forest on the NSW north coast. In effect, these areas are acting as large-scale informal conservation reservesWith a total of 689,300 ha of that land requiring dual consent from the NSW Environment Protection Agency (EPA) and local councils before private forestry agreements could be applied to this land.


The report noted that: Private native forestry is prohibited by council LEPs on a further 6.5%3 (174,560 ha) of private native forest land. The balance of the private native forest estate (68.5%) has zoning that permits forestry without council consent.


It also found that: The Private Native Forestry Code of Practice for Northern NSW prohibits forest operations within any area identified as core koala habitat within the meaning of State Environment Planning Policy (SEPP) 44—Koala Habitat Protection (SEPP 44). Koalas are known to be present in low densities across all of the North coast’s 34 council areas. It identified SEPP 44 as an impediment with the potential to significantly reduce the availability of private timber resources.


The Berejiklian and Perrottet Coalition Governments, along with the NSW National Party and timber industry lobbyists, appear to have spent the years since 2018 attempting to dismantle protections on any and all land in private hands which has what is considered harvestable native timber stands. In this aim the state government has frequently been successful.


In 2022 they had an unexpected measure of success in the Kyogle local government area, which covers 3,589 square km and has a resident population of est. 9,359 people [ABS Census 2021].


Kyogle Koalas IMAGE: “KOALA COUNTRY” leaflet, September 2017



ABC News, 15 November 2022:


On the day the NSW government was forced into an embarrassing backdown over proposed changes to private native forestry approvals, a council on the state's north coast has voted to give up the powers at the centre of the controversy.


Kyogle Council voted to scrap the dual approval process for native forestry on private land, leaving approvals entirely in the hands of Local Land Services (LLS).


"We've got a history in Kyogle of a strong timber industry, and the fact that it is still functioning today is a testament to generations past and present and how well they're managing their land," Mayor Kylie Thomas said.


"Why would we get in the way of that?"…...


The meeting heard there were 133 private native forestry (PNF) plans in place across the Kyogle Shire which have been approved by the LLS but have not been put forward to the council.


A staff report said the council would struggle to approve any PNF plans, because it could not approve proposals that would have an adverse effect on the environment.


It argued that scrapping the dual-approval process would help address the regulatory stalemate.


The council's vote came on the same day the state government announced it would not proceed with contentious private native forestry legislation.


Under the current law, landholders need approval from both their local council and a state authority (LLS).


The bill would have removed the requirement to go to council, but it was abandoned after concerns were raised about its impact on koala habitat.


The Nationals member for Tweed, Geoff Provest, threatened to cross the floor on the issue.


"In my whole political life, I've never crossed the floor, so to speak, or voted against a government policy," he said.


"In this case I have a strong belief and I think I've got the support of my wider community that this is not good legislation."…….


Read the full article here


BACKGROUND




In its 14 November 2022 ordinary monthly meeting business paper Kyogle Council asserted that the local government area has the third highest amount of private native forest on the North Coast of NSW with approximately 160,000 hectares. It further stated that: As of 2022, Council records indicate that there are 146 current approved PNF plans in the Kyogle local government area covering 382 parcels of land. Local Land Services advises that over half of all forest under freehold title is subject to an approved PNF. A further 84 PNF plans covering 279 parcels of land have historically been approved, however, it is likely these approvals have expired.

Council officers have discussed the above issue with the Department of Planning and Environment (DPE) with a view to finding a solution which ensures that duplication in regulatory processes is removed while ensuring that state and local government interests are protected.

DPE and Council officers agree that the best way forward is to amend the Kyogle LEP to make PNF permitted without consent on land zoned RU1 – Primary Production. This would enable any land owner who obtains an approved PNF Plan from LLS after the proposed amendment to the LEP takes effect, to proceed with PNF without obtaining development consent from Council. The cost to Council of implementing the withdrawal from the dual consent process is optimistically set by staff at $25,000.


IndyNR.com, 1 September 2022:


Logging at a property near the Border Ranges National Park was first noticed by a Kyogle Environment Group member on their way to the park.


Kyogle Council general manager Graham Kennett said the council received a complaint about the logging of native forest at a site along Forest Rd on July 25.


Council officers inspected the site that day and immediately reported the matter to the Environmental Protection Authority and Local Land Services, who are the two state government agencies responsible for the regulation and approval of private native forests,” Mr Kennett said.


Council also issued an emergency stop works order the following day.”


The property on Forest Rd is a short drive from the national park and 30km north of Kyogle.


The Kyogle Environment Group contacted Minister for Environment and Heritage James Griffin, Minister for Agriculture Dugald Saunders, State MP Janelle Saffin and MLC Sue Higginson as well as the EPA.


KEG secretary Sue Page received a letter about the logging from the EPA’s Carmen Dwyer.


The letter said the EPA had conducted two inspections at the property and identified alleged non-compliance issues.


These matters are now subject to a formal investigation,” Ms Dwyer said.


Logging laws require landholders and contractors to comply with the Private Native Forestry Code of Practice.


The EPA is currently investigating compliance issues at the property. Forestry operations have been suspended at the site following separate regulatory action instituted by Kyogle Council,” an EPA spokesperson said.


Neither council nor the EPA could give further details until the investigation is complete……. 


Saturday 12 November 2022

Tweet of the Week

 

A Twitter thread on the subject of a NSW local government council which since its first sitting in 2022 has beggared belief.....





via Twitter account @worldzonfire


Wednesday 19 October 2022

So, you are looking to buy a house or land in Yamba on the Clarence Coast in NSW?

 


A recent local newspaper article of 12 October 2022 stated that Clarence Valley Council would not release the results of a circa 2014 floor level survey of an unstated number of Yamba homes.


This survey was apparently undertaken to assess flood risk vulnerability against potential flood height modelling for Yamba township and environs.


The reason Council gave for withholding this information appears to be; “Premature release of the floor level data might (for instance) result in one or more sales falling through without the statutory immunity of Council being assured.”


By Census Night in August 2021 there were 4,073 residential dwellings recorded for a Yamba population of 6,376 people.


It is possible that conservatively between 30% to 53% of this housing stock is vulnerable to varying degrees during heavy rainfall associated with adverse weather events and Lower Clarence River flooding. A smaller percentage of Yamba dwellings above flood height on Pilot Hill and environs may be still be at risk - from land slippage during prolonged heavy rain and high seas.


Now according to propertyvalue.com.au there have been 142 houses sold in Yamba and environs in the last twelve months with a median price of $925,000.


Looking at online real estate sites there are also a number of dwellings in the town currently for sale – ranging from modest houses on manufactured relocatable housing estates through to 3-4 bedroom brick family homes and onto million dollar plus residences of up to 5 bedrooms & 2 bathrooms with all the mod cons.


There’s no easy way to establish floor levels in Yamba just by viewing real estate websites or looking at documents currently publicly available on Council’s own website. The only historic information publicly available ‘guesses’ dwelling floor heights in many of the town’s streets based on the surveyed height of the adjacent road surface.


An estimation method which clearly had its drawbacks in March 2022 when this overview of a section of Yamba Road was taken.



Embed from Getty Images



If Clarence Valley Council is determined to cloak in secrecy a more accurate extant list of floor heights, perhaps it’s time that the Yamba community began to help people who want to move here make informed choices before committing themselves to a mortgage or spending their hard-earned retirement savings?


Remembering that the Lower Clarence River estuary has flooded on average every three years since the 1990s, looking at Google Earth as well as basic digital flood modelling that Clarence Valley Council has available online and, then sampling from the over 50 dwellings currently advertised for sale for an example of each of the three aforementioned housing types:


  • that sweet little 3 bedroom home in one of Yamba’s manufactured home estates is probably only est. 4m above mean sea level and, if its floor level doesn’t turn out to be at least 2.84m AHD then there is a statistical 1 in 100 chance in any given year that it will have stormwater and/or floodwater running across the bedroom carpeting;


  • the 4 bedroom brick home with a tidy garden is probably est. 4m above mean sea level but if its floor level isn’t high enough then there is a statistical 1 in 50 chance in any given year that flood water will enter the property and threaten the house. There is also a 1 in 100 chance in any given year that with a floor below or even at 2.84m AHD the river will come knocking at the door and take possession of the house for as many days as it pleases;


  • when it comes to one of those houses with the million dollar plus price tag, well it is an est. 3-4m above mean sea level. However if its floor level falls short of 2.84m AHD then it may be uncomfortable to live in as there is a statistical 1 in 50 chance in any given year that flood water will enter the property but possibly not the house. However, there is also a 1 in 100 chance in any given year that storm water and/or flood water will enter the property and threaten the ground floor areas of this house.


Needless to say all three example residences are highly likely to be inundated during an extreme flood event given that modelled flood water heights would reach above the ceiling of the average single storey house design and above ceiling level on the ground floor of the average two-story design.


I rather suspect that Council is not voluntarily offering up that information to prospective home buyers, unless they happen to ask a precisely framed question in writing over the signature of their solicitor and perhaps not even then – given how many hundreds of land or house & land packages property developers are hoping to sell over the next five to twenty-five years in Yamba and how attractive future increases in rate income are to local government. 


Although quite frankly with Australia’s climate already having warmed on average by 1.44 ± 0.24 °C since national records began in 1910 [Dept. Planning and Environment, AdaptNSW 2022] and the possibility being canvassed that the world and Australia will reach long-term 1.5°C warming as early as the 2030s, Clarence Valley Council has more to worry about than riverine flooding.


In a worst case scenario due to the expected increase in sea-level rise this warming will bring, a significant amount of land within Yamba town precincts will be begin to go under water at high tide in another 8-17 years time.


Climate Central Inc. interactive mapping
Sea-level rise at 1.5°C global warming
Click on image to enlarge


Tuesday 13 September 2022

30th Annual Mardi Grass protest is returning to Nimbin next weekend, Friday 16 to Sunday 18 September 2022

 


After being battered by repeated heavy rainfall and flooding earlier this year the little village of Nimbin has scrubbed its face and decided to put on its beads and feathers again.



NBN News, 10 September 2022:



The 30th Annual Mardi Grass protest is returning to Nimbin next weekend. [Friday 16 to Sunday 18 September]


The annual cannabis law reform rally draws hundreds of protestors to Nimbin.


The three-day protest is normally held in May, but was postponed due to the floods this year.


Nimbin, NSW
IMAGE: Insurance Business: Australia, 15 July 2022





Tuesday 9 August 2022

So how do the securely employed professional classes in the Australian population calculate poverty?

 

According to the 2021 Census, around half the people aged 15 years of age and older living in the seven local government areas of north east New South Wales have personal incomes averaging from $0 to $645 a week - which is way below the state average of $813 a week and the national average of $805 a week. Included in these figures would be the individual weekly incomes of those local residents who receive full aged pensions. 

One sometimes sees media coverage that describes this part of the state as a low income region. Indeed, the region made NCOSS mapping of economic disadvantage - coming in at between est. 8.7% to 21.3% of the population experiencing economic disadvantage across the region in 2016. By the same token, in 2016 the NSW Government rated the region's local government areas on the "Index of Relative Socio-economic Advantage and Disadvantage" (IRSAD) as between only 1 to 8 points where "1" represents most disadvantaged and "129" least disadvantaged relative to other state local government areas.

We live in a beautiful region but are not unaware that life can be a quiet struggle for many in our communities. Sometimes it is even ourselves, our own families and friends who struggle.

It should come as no surprise that when poverty in Australia is officially defined, none of those doing the defining are classed as poor or living in poverty.

Sometimes it seems the voices of those with no incomes or low incomes are confined to short quotes in submissions made to governments by registered charities and lobby groups.

So how, by way of example, are those living below a current poverty line doing financially in 2022, according to the professors, researchers and statisticians in one self-styled pre-eminent economic and social policy research centre”?


Melbourne Institute: Applied Economic & Social Research,

POVERTY LINES: AUSTRALIA, MARCH QUARTER 2022, July 2022, p. 4 of 4:


Click on image to enlarge













Although this March Quarter comparison table gives an indication of disposable income it is uncertain if it takes account of rising inflation in 2022, given the only table included in the report which factors in Cost Price Index ends its calculations in 2020-21. 

What it does calculate is that total maximum weekly disposable income in all but one of the pension and allowance categories is well below an Australian poverty line established in 1964. 

However, in doing so the report attempts to minimise the lived experience of others by, in the first instance by broadly assuming that all cats are black in the dark and differences in individual circumstances don't matter and long as final percentage totals reach 100.

As one example. Not every single lone aged or disability pensioner who rents and is eligible for rent assistance actually receives rent assistance as disposable income or that such rent assistance amount is credited to their actual real life cash rent payments. In New South Wales alone it is likely that somewhere in the vicinity of 58,924 lone pensioners who rent are affected. That number of NSW aged and disability pensioners are likely receiving a total weekly disposable income derived solely from welfare payments which is not as the report suggests $59.49 above a poverty line in 2022 but in fact is an est. $11.91 below that same poverty line.

In the second instance the report minimises the lived experience of others by choosing to define all those receiving federal government cash transfers through Centrelink as being better off in March Quarter 2022 than they were in the last 49 years up to 30 June 2021. 

The sources referred to, the many qualifications applied in compiling this data or even the contents of the four tables, will not be what media commentators, political advisors and public servants take away with them after reading.

No, what will be remembered is the impression given that all pensioners live above the poverty line instead of that most live in deeper poverty than that benchmark and the statement; “Put another way, the real purchasing power of the income at the poverty line rose by 60.7 percent between 1973/74 and 2020/21.”


BACKGROUND

Melbourne Institute: Applied Economic & Social Research,

POVERTY LINES: AUSTRALIA, MARCH QUARTER 2022:


What are the Poverty Lines?


Poverty lines are income levels designated for various types of income units. If the income of an income unit is less than the poverty line applicable to it, then the unit is considered to be in poverty. An income unit is the family group normally supported by the income of the unit.


How the Poverty Lines are Calculated


The poverty lines are based on a benchmark income of $62.70 per week for the December quarter 1973 established by the Henderson poverty inquiry. The benchmark income was the disposable income required to support the basic needs of a family of two adults and two dependent children. Poverty lines for other types of family are derived from the benchmark using a set of equivalence scales. The poverty lines are updated to periods subsequent to the benchmark date using an index of per capita household disposable income. A detailed description of the calculation and use of poverty lines is published in the Australian Economic Review, 4th Quarter 1987 and a discussion of their limitations is published in the Australian Economic Review, 1st Quarter 1996.


The Poverty Lines for the March Quarter 2022


The Melbourne Institute of Applied Economic and Social Research has updated the poverty line for Australia to the March quarter 2022. Inclusive of housing costs, the poverty line is $1,148.15 per week for a family comprising two adults, one of whom is working, and two dependent children. This is an increase of $5.16 from the poverty line for the previous quarter (December 2021). Poverty lines for the benchmark household and other household types are shown in Table 1.


The Poverty Lines are Estimates


As has been stated in paragraph 2, the poverty lines are based on an index of per capita household disposable income. The index is calculated from estimates of household disposable income and population provided by the Australian Bureau of Statistics (ABS). Because the index is based on estimates, the poverty lines themselves will be estimates. As more information becomes available, the ABS may update population and household disposable income estimates for previous quarters. Whenever these estimates are changed, it is necessary to re-estimate the poverty lines. Accordingly, in addition to providing estimates of current poverty lines, we provide sufficient information for readers to calculate poverty lines for all quarters dating back to December 1973.


Click to enlarge


How to calculate poverty lines for other

quarters


Table 2 shows the estimated per capita household disposable income for all quarters between September 1973 and March 2022. This table may

be used to calculate poverty lines for any quarter within this period. For instance, to find the poverty line for the June quarter 1996 for any household type, multiply the current value of its poverty line by the ratio of per capita household disposable income in the June quarter 1996 to that in the current quarter; that is, the poverty line for a benchmark household in June 1996 would be 1,148.15 × 346.11 / 977.25 = $406.64.


Click to enlarge

















Relative poverty and the cost of living Updating poverty lines according to changes in per capita household disposable income means that the poverty lines are relative measures of poverty. As real incomes in the community rise, so too will the poverty lines. The value of the poverty lines will therefore be reasonably stable relative to general standards of living, but may change relative to the cost of living. An alternative method for updating poverty lines is to use a cost-of-living index, such as the ABS Consumer Price Index (CPI). Poverty lines generated in this way are absolute measures of poverty. The real purchasing power of the income at the poverty line is maintained, but it may change in comparison to general standards of living. Table 3 compares annual movements in the poverty line for the benchmark income unit between 1973/74 and 2020/21 updated in these two ways. The table shows that, by 2020/21, an income unit whose income was adjusted to match movements in average household disposable income would have 60.7 per cent more income than one whose income was adjusted to match movements in consumer prices. Put another way, the real purchasing power of the income at the poverty line rose by 60.7 per cent between 1973/74 and 2020/21.....


Full PDF document online here.